The growth of South Korea’s producer prices picked up from the previous month as costs for agricultural products rose, the central bank said Thursday.
The producer price index, a barometer of future consumer inflation, rose 0.3 percent in August from a month earlier, accelerating from a 0.1 percent gain in July, according to the Bank of Korea (BOK).
The prices for agricultural products jumped 4.5 percent on-month in August, the fastest expansion since a 5.2 percent rise in February.
Compared with a year earlier, the country’s producer prices grew 3.1 percent last month, slowing from a 3.4 percent advance in July as the on-year growth of oil prices eased and the local currency rose against the US dollar, it added.
The cost for Dubai crude oil, South Korea’s benchmark, gained 3.9 percent in August from a year earlier, smaller than an 11.8 percent advance in July, the BOK said. South Korea, the world’s fifth-largest purchaser of crude oil, relies entirely on imports for its oil needs.